According to Businessinsider, Broadcom announced the completion of its $69 billion acquisition of VMware on November 22. Some VMware employees received an email on November 27 stating that their positions were closed after Broadcom announced last week that the deal to acquire the company had ended. will be cancelled.

In May 2022, Broadcom announced for the first time that it would acquire VMware for US$61 billion and assume its net debt of US$8 billion. The company announced that it completed the transaction on November 22, shortly after receiving regulatory approval in China.

On November 27, laid-off VMware employees received an email stating: “Broadcom recently completed its acquisition of VMware. As part of the integration plan and following an organizational needs assessment, we identified the requirements for the combined company. required moving forward role. We regret to inform you that your position will be eliminated and your employment will be terminated. We would like to thank you for your dedication and service. We want to make this transition as smooth as possible, including for you Offer a generous severance package and give you a period of paid notice without having to work.”

It's unclear how many VMware employees will be affected by the layoffs. As of February this year, VMware had more than 38,000 employees. It is reported that VMware laid off employees before the acquisition by Broadcom was completed. In September this year, VMware sent a letter to employees stating that Broadcom would provide them with a job or a transitional position, or receive a severance package.

At the same time, Broadcom has begun renovating offices in several regions and using its own brand. According to last year's annual report, approximately 35% of Broadcom's revenue in fiscal years 2021 and 2022 came from shipments in China.

An employee of VMware China revealed that the company’s private cloud business is facing fierce competition from local companies, which are seeking to use domestic products to replace foreign products. In March 2023, VMware warned investors that China and the United States Different legal provisions in different countries may lead to conflicts of laws. The company said China's laws and regulations on data storage and processing could affect its business.

Broadcom will offer current employees two options: a new contract or severance packages, according to an anonymous VMware employee. It's unclear exactly how many employees will be affected by the layoffs.

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